Can I retire at age 40 with 2,950,000?

Use the below retirement simulation to view the chances of a successful retirement.
Confused? Try the simple retirement calculator
About Your Retirement ?
Current Age
Retirement Age
Current Savings $
Annual Deposits $
Annual Withdrawals $
Stock market crash:
Portfolio ?
% in Stocks:
% in Bonds:
% in Cash:
Modify Stock Returns:
0%
Modify Bond Returns:
0%
Modify Cash Returns:
0%
Modify Inflation:
0%
How much money do I need to retire?

This retirement calculator runs simulations based on past data from the S&P 500, 10 Year Treasury Bond, 3 month T-Bill, and US inflation. For each year of each simulation, a random return and inflation amount is chosen.

How to use: Enter your current age and the age when you retire. Then enter your current savings, the amount that you can save annually before you retire, and the amount that you plan to withdraw after retirement. Your annual deposits and withdrawals take inflation into account. For example, if you need $50,000 to live on in retirement using today's dollars, we will automatically take into account the cost of living for your retirement years. The same is true for your annual deposits. Next, decide if you'd like to simulate a stock market crash.

In the portfolio section, choose the makeup of your portfolio with stocks, bonds, and cash. Cash assumes that your money is stored in a savings account. You can then alter the future returns and inflation. For example, if the market has historically returned about 10%, but you think the future will be worse, modify the stock returns by -3%, and the future returns will average out to 7%. Investment fees can also lower stock market returns. Many index funds and ETFs offer extremely low fees and expenses.

Many people receive income in retirement, such as social security, pension plans, part time jobs, annuities, and other benefits. This would allow you to take out smaller distributions every year. Please note that taxes must also be considered, but are not used in this simulation. A 401k, Roth IRA, and Traditional IRA are taxed differently than a standard investment account, as are dividends.

Note: This assumes that the future is at least somewhat like the past. In reality, anything could happen. The Soviet Union collapsed, Japan's Nikkei Index is still well below its 1989 peak. Numerous other markets have changed drastically and never recovered. However, this online tool is helpful in retirement planning and estimating how much you might need for retirement, especially those hoping to retire early. We recommend receiving advice from a financial planner.

Want to retire with $2,950,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%13.5%
1 years$243,608$241,438$239,321$237,255$235,237$231,817
2 years$120,598$118,352$116,175$114,065$112,018$108,580
3 years$79,600$77,344$75,173$73,082$71,069$67,719
4 years$59,105$56,856$54,707$52,652$50,687$47,451
5 years$46,811$44,576$42,455$40,442$38,531$35,420
6 years$38,618$36,400$34,310$32,341$30,488$27,504
7 years$32,768$30,568$28,512$26,590$24,795$21,939
8 years$28,383$26,203$24,180$22,305$20,570$17,842
9 years$24,974$22,814$20,826$18,999$17,323$14,722
10 years$22,248$20,110$18,157$16,378$14,760$12,283
11 years$20,019$17,902$15,985$14,253$12,694$10,340
12 years$18,163$16,068$14,186$12,502$11,000$8,765
13 years$16,594$14,521$12,674$11,038$9,593$7,474
14 years$15,250$13,199$11,388$9,798$8,409$6,403
15 years$14,087$12,058$10,282$8,738$7,404$5,507
16 years$13,070$11,063$9,322$7,824$6,544$4,753
17 years$12,173$10,188$8,483$7,030$5,802$4,113
18 years$11,377$9,414$7,744$6,335$5,159$3,568
19 years$10,666$8,725$7,089$5,724$4,598$3,102
20 years$10,026$8,108$6,506$5,185$4,107$2,701
21 years$9,448$7,552$5,984$4,705$3,675$2,355
22 years$8,924$7,050$5,515$4,278$3,295$2,057
23 years$8,445$6,593$5,092$3,896$2,957$1,798
24 years$8,008$6,178$4,710$3,554$2,658$1,574
25 years$7,606$5,797$4,362$3,245$2,392$1,378
26 years$7,235$5,449$4,046$2,967$2,155$1,208
27 years$6,892$5,128$3,757$2,716$1,943$1,059
28 years$6,575$4,832$3,492$2,489$1,753$930
29 years$6,280$4,558$3,250$2,282$1,583$816
30 years$6,005$4,305$3,027$2,094$1,430$717
31 years$5,748$4,070$2,822$1,923$1,293$630
32 years$5,508$3,851$2,633$1,768$1,170$554
33 years$5,283$3,647$2,459$1,626$1,058$487
34 years$5,072$3,456$2,297$1,496$958$428
35 years$4,873$3,278$2,148$1,377$868$377
36 years$4,685$3,111$2,009$1,268$786$331
37 years$4,508$2,955$1,880$1,168$713$292
38 years$4,341$2,808$1,761$1,077$646$257
39 years$4,183$2,671$1,650$993$586$226
40 years$4,033$2,541$1,546$916$531$199
41 years$3,891$2,419$1,450$845$482$175
42 years$3,756$2,303$1,360$780$438$154
43 years$3,627$2,195$1,276$720$397$136
44 years$3,505$2,092$1,198$665$360$119
45 years$3,388$1,995$1,125$614$327$105
46 years$3,277$1,903$1,057$567$297$93
47 years$3,171$1,816$993$524$270$82
48 years$3,070$1,734$933$484$245$72
49 years$2,973$1,656$877$447$223$63
50 years$2,880$1,581$824$414$202$56

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $2,950,000, adding $3,417 every year, while hoping to spend $55,270 every year in retirement. These numbers increase with inflation.
Reality usually performs much different than the expected returns. This uses historical averages, but anything can happen. In general, riskier investments have greater returns on average, but more volatility in the short term.
Age Total: 100% Stocks Total: 100% Bonds Total: 100% Cash Total: 69/11/20 Blend
39$2,950,000$2,950,000$2,950,000$2,950,000
40$3,254,425$3,098,075$3,052,350$3,462,716
41$3,527,569$3,191,073$3,095,796$3,695,262
42$3,826,722$3,286,777$3,138,846$3,942,826
43$4,154,477$3,385,259$3,181,428$4,212,368
44$4,513,693$3,486,595$3,223,465$4,506,053
45$4,907,516$3,590,865$3,264,877$4,826,267
46$5,339,411$3,698,146$3,305,579$5,175,637
47$5,813,197$3,808,521$3,345,481$5,557,057
48$6,333,078$3,922,073$3,384,490$5,973,713
49$6,903,684$4,038,887$3,422,503$6,429,118
50$7,530,119$4,159,052$3,459,416$6,927,137
51$8,218,001$4,282,655$3,495,116$7,472,033
52$8,973,521$4,409,789$3,529,486$8,068,498
53$9,803,499$4,540,547$3,562,403$8,721,703
54$10,715,447$4,675,025$3,593,734$9,437,345
55$11,717,641$4,813,320$3,623,343$10,221,700
56$12,819,199$4,955,531$3,651,083$11,081,683
57$14,030,167$5,101,762$3,676,804$12,024,912
58$15,361,610$5,252,114$3,700,344$13,059,781
59$16,825,723$5,406,696$3,721,533$14,195,538
60$18,435,937$5,565,615$3,740,195$15,442,375
61$20,207,054$5,728,982$3,756,144$16,811,520
62$22,155,381$5,896,909$3,769,181$18,315,345
63$24,298,884$6,069,512$3,779,103$19,967,482
64$26,657,359$6,246,907$3,785,692$21,782,953
65$29,252,619$6,429,214$3,788,722$23,778,311
66$32,108,696$6,616,555$3,787,954$25,971,795
67$35,252,070$6,809,054$3,783,137$28,383,502
68$38,711,919$7,006,836$3,774,010$31,035,580
69$42,520,393$7,210,029$3,760,298$33,952,433
70$46,712,918$7,418,765$3,741,713$37,160,953
71$51,328,526$7,633,175$3,717,951$40,690,774
72$56,410,229$7,853,394$3,688,696$44,574,551
73$62,005,422$8,079,559$3,653,616$48,848,269
74$68,166,326$8,311,809$3,612,363$53,551,582
75$74,950,487$8,550,284$3,564,574$58,728,188
76$82,421,316$8,795,127$3,509,866$64,426,239
77$90,648,685$9,046,482$3,447,841$70,698,801
78$99,709,587$9,304,497$3,378,080$77,604,350
79$109,688,866$9,569,318$3,300,147$85,207,324
80$120,680,011$9,841,096$3,213,583$93,578,735
81$132,786,045$10,119,981$3,117,910$102,796,838
82$146,120,488$10,406,128$3,012,627$112,947,867
83$160,808,439$10,699,688$2,897,210$124,126,853
84$176,987,745$11,000,819$2,771,113$136,438,519
85$194,810,312$11,309,676$2,633,762$149,998,270
86$214,443,529$11,626,416$2,484,558$164,933,282
87$236,071,856$11,951,196$2,322,878$181,383,703
88$259,898,557$12,284,177$2,148,066$199,503,975
89$286,147,624$12,625,516$1,959,440$219,464,295
90$315,065,887$12,975,371$1,756,287$241,452,219
91$346,925,346$13,333,903$1,537,861$265,674,435
92$382,025,736$13,701,269$1,303,384$292,358,714
93$420,697,357$14,077,627$1,052,043$321,756,060
94$463,304,191$14,463,134$782,990$354,143,081
95$510,247,336$14,857,946$495,338$389,824,600
96$561,968,795$15,262,216$188,163$429,136,534
97$618,955,644$15,676,096$0$472,449,065
98$681,744,632$16,099,737$0$520,199,936
99$750,927,245$16,533,285$0$572,853,691
100$827,155,292$16,976,883$0$630,865,769